Gender Pay Gap Report Reporting Year 2019/2020

15 December 2020

# Contents

| Section | Page | |----------------------------------------------|------| | Gender Pay Gap | 3 | | What is Gender Pay Gap Reporting? | 3 | | The ORR gender pay gap | 4 | | Review of results | 4 | | Bonus payments | 5 | | Action to reduce the gender pay gap | 6 | | Annex 1 | 6 | | Annex 2 | 11 | Gender Pay Gap

What is Gender Pay Gap Reporting?

From 2017, all organisations employing 250 or more employees have been required to publicly report on their gender pay gap. The gender pay gap uses the hourly rates of men and women taken at a specific date (the ‘snapshot date’) and shows the percentage difference in earnings across the organisation between men and women.

Reporting specifically requires: the mean and median gender pay gaps; the mean and median gender bonus gaps; the proportion of men and women who received bonuses, and the number of men and women according to quartile pay bands. The ORR has a snapshot date of 31 March 2020.

This report analyses our gender pay gap figures in more detail, makes comparisons with our previous reported data where relevant, and sets out what we are doing to close the gender pay gap. The ORR gender pay gap

The data presented is a snapshot from 31 March 2020 covering 328 employees, of which 60.4% are male and 39.6% are female. The data shows that the ORR has a mean gender pay gap of 17.9% and a median gender pay gap of 17.4%.

| | Female pay against male is: | |--------------------------|-----------------------------| | | 2020 | 2019 | 2018 | 2017 | | Mean pay gap – hourly rate| 17.9%| 18.1%| 18.3%| 12.8%| | Median pay gap – hourly rate| 17.4%| 23.8%| 25.1%| 27.2%| | Mean pay gap – bonus payments| 7.2%| 29.0%| -22.9%| 19.3%| | Median pay gap – bonus payments| 25.0%| 15.1%| 0.0%| 9.6%|

Review of results

We are confident that people at ORR are paid equally for doing equivalent roles, taking into account skills, experience, performance and competence. However, our gender pay gap reflects the fact that we have more male employees in middle and senior positions and proportionately more female employees in junior positions. Both the mean and median gender pay gap has improved during the last two years.

Pay Quartiles are where an organisation is split into four equally sized chunks of employees based on their hourly earnings - and then the gender split is recorded. Using the quartile percentages our lower quartile (up to £20.21 per hour) is made up of 57.3% women while the upper quartile (from £34.35 per hour) is made up of 28.4% women. Some roles at middle to high grades, with correspondingly higher salaries, are traditionally male dominated, for example our Inspectors, and some lower graded roles such as administration roles, have been typically dominated by females.

Any actions to reduce any gender pay gap will take significant time to take effect, particularly where overall pay increases are low and any differential in favour of those in the lower quartile are small, however we are committed to reducing the Gender Pay Gap and further actions are outlined later in this report.

**Bonus payments**

The bonus pay gap figure is calculated on actual bonus payments received in the pay period up to 2020. 22.6% of females who received a bonus work part time (and therefore a pro rata bonus payment) compared to 9.2% of men, increasing the gap in favour of men.

People at all levels in ORR are eligible for performance related payments. People who have delivered an outstanding performance across the whole of a reporting year may receive a one off payment at the end of the year, whilst people who have made a special one-off contribution during the year may receive an in year award at any point during the year.

The proportion of men and women in receipt of a bonus payment has remained the same over the last 3 years. The mean pay gap is 7.2%, whilst the median pay gap is 25%. Out of the 198 male population, 71.7% received a bonus whilst out of the total female population of 130, 71.5% received a bonus this year. Action to reduce the gender pay gap

Since 2018 there have been reductions to both the mean and median hourly pay gap.

ORR continues to build on the actions outlined in the 2019 report. Last year we sought to achieve a 50/50 gender split outcome for feeder grades for Inspector roles. We also had several work streams in our 2018/19 diversity and inclusion programme to tackle the under-representation of certain groups, including women, in senior management positions. ORR also ensures that interview panel members undertake unconscious bias training and that wherever possible all interview panels are gender mixed.

ORR will continue to review these initiatives as part of its Diversity & Inclusion plan, working closely with our Diversity and Inclusion Network and SCS Diversity Champion.

It is recognised that the impact of actions to reduce the gap will take time, however three areas continue to be a priority for action to address the gender balance in our organisation.

Recruitment

In the period covered in this report the ORR surpassed its goal in achieving 50/50 gender split outcome for feeder grades for Inspector roles, 60% of successful applicants were women. We will continue to explore how to attract underrepresented groups into our organisation. Additionally, we have committed to the following:

- Increase in the number of vacancies advertised as available on flexible working, part-time, job share basis and the option to be based in any of ORR’s six office locations across the country;
- Offer flexible employment offer for all employees allowing regional and home working supported by mobile technology;
- All people involved in recruitment to undertake unconscious bias training;
- A continuation of ‘blind’ recruitment where all personal information including gender is redacted and not visible to those making decisions until the interview stage; and
- Ensure mixed gender selection panels are in place for interview panels wherever possible. Career pathways and performance

All employees will continue to be offered access to various talent programmes, aimed at supporting the right people into the right roles. In addition, ORR supports and promotes ‘Positive Action Pathways’ programme for all grades, which aims to tackle the under-representation of certain groups, including women, in middle and senior management positions. In parallel, ORR reviews succession planning annually, which provides a source of data that helps monitor diversity with a view to informing development opportunities. Annex 1

ORR has 326 employees, 60.4% of whom are male and 39.6% female (compared to 46.1% and 53.9% respectively in the whole Civil Service).

The proportion of female employees in ORR has increased by 2 percentage points over the last five years. 20% (65) of employees work part-time hours or a non-standard working pattern. Many staff take advantage of the ability to work from home, to help optimise their work-life balance.

Just 18% (59) of employees declared a minority ethnic background, compared to 12.7% in the Civil Service as a whole. 5% (17) of employees have reported a disability, which is lower than the Civil Service average of 11.7%.

The majority of colleagues are white (69%), whilst 18% are non-white. Over 60% of colleagues are aged 40 or over. Employees by religion

- Christian: 24.8% (2020), 23.8% (2019)
- Hindu: 0.9% (2020), 1.3% (2019)
- Jewish: 0.3% (2020), 0.3% (2019)
- Muslim: 1.5% (2020), 1.9% (2019)
- None: 27.6% (2020), 24.1% (2019)
- Other: 2.5% (2020), 1.6% (2019)
- Sikh: 1.5% (2020), 0.6% (2019)
- Undeclared: 46.4% (2020), 40.5% (2019) Annex 2

The charts show the protected characteristics for applicants (or those who started the application process) for ORR vacancies, advertised externally between 1 April 2019 and 31 March 2020.

**Gender**

- **2018/19**

  - Male: 54%
  - Female: 39%
  - Prefer not to say: 7%
  - Undeclared: 0%

- **2019/20**

  - Male: 42%
  - Female: 39%
  - Prefer not to say: 4%
  - Undeclared: 0%

There has been a 2% increase in female applicants this year.

**Disability**

- **2018/19**

  - Yes: 6%
  - No: 90%
  - Prefer not to say: 4%
  - Undeclared: 0%

- **2019/20**

  - Yes: 6%
  - No: 89%
  - Prefer not to say: 5%
  - Undeclared: 0%

There has been no change in the number of applicants declaring a disability this year.

**Sexual Orientation**

- **2018/19**

  - Heterosexual: 89%
  - Bisexual: 2%
  - Prefer not to say: 10%
  - Other: 0%

- **2019/20**

  - Heterosexual: 89%
  - Bisexual: 3%
  - Prefer not to say: 8%
  - Other: 1%

There have been minor changes over the last two years.

**Ethnicity**

- **2018/19**

  - White: 54%
  - Asian: 21%
  - Black: 14%
  - Mixed: 2%
  - Other: 2%
  - Prefer not to say: 7%
  - Undeclared: 0%

- **2019/20**

  - White: 55%
  - Asian: 22%
  - Black: 13%
  - Mixed: 4%
  - Other: 1%
  - Prefer not to say: 5%
  - Undeclared: 0%

There have been minor changes over the last two years. There has been a c70% increase in applicants between 16-24 years.

We continue to attract applicants from different faiths and beliefs.